Dunster is dominated by its hilltop castle, and the remains of a prehistoric Iron Age settlement have been discovered in the deer park. After the Norman Conquest (1066), the castle became the caput (administrative centre) of an honour (feudal administrative division) that included lands in the counties of Somerset, Dorset, Devon, and Wiltshire. The town was incorporated in the 12th century. A 16th-century octagonal building, the yarn market, lies in the main street. Dunster’s main industry is tourism. Agriculture and forestry provide other employment. Pop. (2001) 860; (2011) 817.